8-K

                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                        PURSUANT TO SECTION 13 OR 15 (D)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

         DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) April 14, 2003


                              MEGO FINANCIAL CORP.

                   ___________________________________________

              (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER

              NEW YORK               1-8645                    13-5629885
           (STATE OR OTHER          (COMMISSION              (IRS EMPLOYER
           JURISDICTION OF           FILE NUMBER)          IDENTIFICATION NO.)
             FORMATION)


            1645 VILLAGE CENTER CIRCLE, LAS VEGAS, NV          89134
             (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)        (ZIP CODE)

        REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE (702) 992-4200



Item 4.  Changes in Registrant's Certifying Accountant.

On April 8, 2003, the Company received a letter of resignation from BDO Seidman,
LLP  ("BDO"),  also  dated  April  8,  2003,  stating  in  its  entirety:

"This  will  confirm that the client-auditor relationship between Mego Financial
Corp.  (Commission  File  Number  1-8645) and BDO Seidman, LLP has ceased." (The
letter  is  attached  hereto  as  Exhibit  3-6)

Prior  to the receipt of a telephone call from BDO notifying the Company of this
letter,  neither  management  nor  the  Company's  Audit  Committee  had notice,
discussion,  or  information pertaining to the action taken by BDO Seidman.  BDO
was engaged on December 27, 2002 to conduct the audit of the Company's financial
statements  for the fiscal year ended December 31, 2002 and has not rendered any
reports  on  the  Company's  financial  statements.

On  April  2,  2003,  the  auditors from BDO met with the Audit Committee of the
Board  of Directors of the Company   During that meeting the Audit Committee was
advised  by  BDO, based on the progress of their audit, that the Audit Committee
could  expect that the completion of the audit by BDO would not delay the filing
by  the  Company  of  its  Form  10-K.  Management concurred with BDO's proposed
conclusion that a "going concern" qualification would be required in BDO's audit
report.  There  were no disagreements or reportable events within the meaning of
Item  304  of  Regulation  S-K.

As  of  the  date  of  the  letter  from  BDO,  neither management nor the Audit
Committee  were  aware of any areas of disagreement between the auditors and the
Company on any matter of accounting principles or practices, financial statement
disclosure,  or auditing scope or procedure, which disagreements if not revolved
to  BDO Seidman, LLP's satisfaction, would have caused them to make reference to
the  subject  matter  of  the  disagreement  in  connection  with  their report.

The Company anticipates that new auditors will be engaged to audit the Company's
2002  financial  statements  within  the  next  30  days.



Item 7.  FINANCIAL STATEMENTS AND EXHIBITS

03-6     Copy of April 8, 2003 letter from BDO Seidman to Mego
Financial Corp.



                                   SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the
Company has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                              MEGO FINANCIAL CORP.



                              By:  / s / Floyd W. Kephart
                             -----------------------------------
                                   Floyd W. Kephart
                                   Chief Executive Officer

Dated:  April 14, 2003

EX-3.6

                            [BDO SEIDMAN LETTERHEAD]

April 8, 2003

Mr. Floyd W. Kephart
Chief Executive Officer
Mego Financial Corp.
1645 Village Center Circle
Las Vegas, NV 89134

Dear Mr. Kephart,

This is to confirm that the client-auditor relationship between Mego Financial
Corp. (Comission File Number 1-8645) and BDO Seidman, LLP has ceased.


Sincerely,

/s/ BDO Seidman, LLP
- ---------------------
BDO Seidman LLP

Cc:  Office of the Chief Accountant
     SECPS Letter File
     Securities and Exchange Commission
     450 Fifth Street, N.W.
     Washington, D.C. 20549